Dubai – Mubasher: Shuaa Capital on Sunday announced that it has commenced discussions with Abu Dhabi Financial Group (ADFG) regarding the possibility of a merger.
Accordingly, both entities will become a larger financial listed firm with a final structure subject to legal and regulatory consent, according to a filing to the Dubai Financial Market (DFM).
“Each party has formed a working group made up of senior executive management to review the commercial potential along with any legal and structural aspects of the transaction together with financial, legal and valuation advisors,” the statement highlighted.
The working groups will provide their recommendations to the respective board of directors of each institution.
At the present time, there is no certainty that discussions between the two parties will result in a transaction.
Shuaa noted that it will notify the shareholders and the markets with any material progress.
By the end of Sunday’s session, Shuaa Capital’s stock hiked 14.95% at 71 fils.
